Gad Dairy Fined 3 Million Shekels for Incomplete Merger Information
Translated & summarized from Calcalist by baba
Gad Dairy will pay NIS 3 million to the Israel Competition Authority for failing to provide complete information during its merger review with Meshek Weiler. The company withheld details about a separate cooperation agreement with Remilk, a cow-free milk developer. The Authority delayed the merger approval but eventually sanctioned it in March 2026, with Gad Dairy completing the acquisition in April. The fine is part of a consent decree awaiting court approval.
The story in 5 lines · by baba
- Gad Dairy will pay NIS 3 million to the Competition Authority for incomplete merger information.
- The company failed to disclose a separate cooperation agreement with Remilk.
- The merger with Meshek Weiler was delayed but ultimately approved in March 2026.
- Gad Dairy completed its acquisition of Meshek Weiler in April.
- The NIS 3 million will be recognized in Gad Dairy's upcoming third-quarter financial reports.
Gad Dairy, controlled by Ezra Cohen and managed by Amir Aaron, will pay NIS 3 million to the Israel Competition Authority under a consent decree. The company failed to provide complete information required during the review of its merger with tofu and milk alternative producer Meshek Weiler. According to the Authority, Gad Dairy did not fully respond to data requests, violating the Economic Competition Law.
The merger was initially set for approval, but the Authority discovered Gad Dairy had signed a separate cooperation agreement with Remilk, a company developing cow-free milk. This information was not included in the initial merger application.
Following this discovery, the Competition Authority's merger team informed Gad Dairy that Remilk's products were considered part of the milk alternative market. Gad Dairy was instructed to submit revised merger notifications and ensure all relevant information for the transaction's review was provided. Consequently, the Authority delayed the merger's approval and re-evaluated its impact on competition in the milk alternative market.
Ultimately, the Authority approved the merger in March 2026, and Gad Dairy completed its acquisition of Meshek Weiler in April. The consent decree, which does not include an admission of violation by Gad Dairy, will be submitted for approval to the Competition Tribunal. If approved, the Competition Commissioner will not pursue further enforcement actions against the company for the incomplete information. Gad Dairy will recognize the NIS 3 million payment in its third-quarter financial reports, expected within the next two weeks.